Dr. John Psarouthakis is the executive editor of The Business Thinker. For CV details click on http://linkd.in/1ANo2xu
Ever since the communists in Greece lost the civil war way back in the late 1940’s, a significant % of the Greek population has been pushing for a radical left government. It seems that portion of the Greek people have not digested the fact that they lost not only militarily but also ideologically. They have a psychological need to be in power.
Radical socialism and communism have not worked out well anywhere. I suppose they have not kept up with the news. Even Russia and China have adopted / developed Free-Market capitalistic economies
Mr. Tsipras, with his radically leftist, SYRIZA, party, along with the right wing Independent Greeks party have formed a government. I hope for Greece that they do not show the world, once more, that those demagogic ideologies belong in history’s files of negative and distractive experiments.
I believe that New Democracy lost the election because Mr. Samaras and sie did not form a committee of experts to investigate where those borrowed and granted billions of euro go, and where the big “forofigades’ (tax evaders) hide. Also it seemed clear to me that Samaras and before him G. A. Papandreou did not really negotiate with TROIKA, instead they signed what it was dictated to them by the lenders and they put a good theatrical production in the Greek Parliament. The best time for optimum negotiations on the debt issue was back at the time of the first Mnimonio (Memorandum) when, a domino effect was realistically feared by all in Europe. Unfortunately G. A. Papandreou did not have the experience, toughness, and courage to do so. I wrote a letter to that effect three years ago to Kathimerini (influential daily newspaper) which they posted in English, but…..
Things can always be renegotiated but lost opportunities have costs. The domino effect fears now have practically gone.
A large, very large, % of the Greek people were / are deeply disappointed and voted for a “new” leader that seems prepared to renegotiate with the lenders and persecute corruption.
I am of the believers that the current debt is unsustainable and must be reduced ether by a direct “haircut” or rescheduling the time line of payments with reduced interest costs, etc.
If Mr. Tsipras does follow through his election campaign rhetoric about realistic debt reducing renegotiations and persecution of corruption, then I do wish him success even though ideologically I am right of center.